Founder-CEO Succession at Wily Technology Case Study Analysis
Sustain the Post or Not
Wily has already met its superior success at the early stages of development. Cirne has had put in all the efforts to boost the firm to the highest peak. But there is a long path to embark still as Cirne’s major progress has been in the field of information and technology. He held close studies for launching the innovative technology of his first product and this continued later on as well. His major insight was directed towards technology and not operations which is critical in any business firm. Although he wanted to incorporate the skills of a businessman and a technologist both himself maybe there is a long way to go. Wily required somebody with years of practice and established accomplishments in administration and tactical decision-making.This, of course, was not possible in the early days with no trained personnel and the work solely relying on Cine alone. With the passage of time and with the increase in incentives and revenues, it is now possible to hire trained specialists with years of experience to bring the company to its true heights.
Question No 2
Pros and Cons of CEO Searching
As soon as the beginning of version 2 shipping started, Strohm and Greylock has put forward certain demands regarding the deal. Wily concised to all of them but were shocked by the last term they had proposed. They demanded the removal of Cirne from the post of CEO. Cirne was in great dismal and completely shocked and things got really tough after that. He started questioning his caliber and asked himself as to where did he mess up? Later on, things got clear as he realized that there is a need for a better expert than Cirne. He called a meeting for guiding the team to search for a better CEO. (Connelly, 2022)
Richard Williams proposed that if Cirne decided to step back from his post of CTO. Due to finances and Venture Capitalists, Lew had to step back from being a CEO earlier and attain the position of CTO. But as soon as Richard Williams was to be appointed the next CEO, he posted a proposal in front of the company. This led everyone in shock as the proposal demanded the removal of Lew Cirne as the CTO of the firm and the administration be in control of Richard all the way. Wily required somebody with years of practice and established accomplishments in administration and tactical decision-making. This, of course, was not possible in the early days with no trained personnel and the work solely relying on Cine alone. With the passage of time and with the increase in incentives and revenues, it is now possible to hire trained specialists with years of experience to bring the company to its true heights.
So the search for a new CEO was demanded by Cirne but he was deeply concerned about the expertise of the new CEO. He feared that the candidate we select would come out different from the paper. He might look good on paper but would not fit the organizational culture. He improvised that the sooner the process starts and results appear, the better it is. Cirne developed an open approach to the search process and involved many seniors from Wily as well.
Pros
The major advantage of the search process was that they were looking for someone who is senior and could easily fit into the firm’s culture. They were looking for trained personnel who has experience in his field for years and could lead the company better than Cirne. That is why they were looking forward to the senior management and staff working in Wily. They had experience working in Wily and could easily absorb the new task. They had known the organizational culture for ages. Further, they demanded a candidate who is good not only on paper but in person as well.
Moreover, the board was not hurrying to take active decisions for appointing the CEO as Cirne has demanded.
Cons
Although a successful criteria was launched for searching for the next CEO and who could lead the company better than Lew Cirne still nothing comes without drawbacks. The process took a long period of time to be established. It took nearly 13 years for searching the right CEO for the firm which is probably the longest time for any company to select a leading authority. Moreover, Wily was a small firm so could not possibly make out the best in the favor of its CEO. Further, the board should have glanced at the CVs of people outside the firm would increase the search for a potential candidate. This would render the firm seek better talent rather than in the business network of Wily. Further, David Strohm said that he would negotiate with Richard as well if Cirne decided to leave the firm. This could leave the firm embarrassedthat its CEO is leaving this way.
Question No 3
Richard William’s Intentions
Richard William’s decision towards removing Lew Cirne from his post can be both positive as well as negative. Cirne might have been removed due to his inefficiency or merely to render entire power in the hands of Richard Williams. The analysis although clearly shows that Cirne has been a remarkable CEO and administrator and has led the company to the path of success. His remarkable efforts have already heightened the company’s success. So the point does not allow the firm to remove him on the basis of mere inefficiency in operational measures. He was technically well oriented. . He has been a remarkable CEO with respect to his responsibility and dedication. He performed all his important roles from the core to the crust. From the development of the first product’s technology, elaborating demos, raising initial funding from family friends, increasing initial sales, and later on hiring eligible people for his firm and then building up the right work culture. So clearly, the intentions would be there to remove him from the post just to render the entire authority and power. It might be the case that Richard and Strohm have both joined hands to remove him from this business and take control over the entire business themselves, dividing it in half. This is because there is no point in demanding his removal first as a CEO to make the deal and then kicking him out of the business as the chairperson as well.
This proves the point that the negative intentions are to be more considered in this case rather than thinking that Cirne is incapable of making decisions or operational management as he himself tends to learn new skills and opt for adopting them.
Conclusion
Wily Technology was established in 1998 by Lew Cirne as a software based company. They mainly develop software to analyze applicants’ performances. Its headquarters are located in California. The company was established due to the sole effort of Lew Cirne as he collected an amount of $35000 from his family friends and thus established its foundations. He had a team of 50 employees by 2001. He has put his lifelong efforts into making the company a dream job.
As soon as the company started the shipping of version 2, Strohm and Greylock put forward a proposal that demanded the removal of Cirne from the post of CEO and to become a CTO. The demand was accepted and as soon as the new CEO was appointed, Richard Williams demanded the removal of Cirne from the post of CTO and make him a chairman.....................
Founder-CEO Succession at Wily Technology Case Study Analysis
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